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- Rebert Inc. showed the following balances for last year: Reberts net income for last year was 3,182,000. Refer to the information for Rebert Inc. above. Also, assume that the dividends paid to common stockholders for last year were 2,600,000 and that the market price per share of common stock is 51.50. Required: 1. Compute the dividends per share. 2. Compute the dividend yield. (Note: Round to two decimal places.) 3. Compute the dividend payout ratio. (Note: Round to two decimal places.)MDL corporation had the following stock prices at the end of each year: 2017: $100, 2018: $150, 2019: $154.The company paid $2 dividend in 2019. Estimate themean return for MDL. The answer is 23%.You have collected the following information regarding Impi industrula Corporation's historical earnings per share. 2012 =R12.36 2013= R13.60 2014 =R15.82 2015= R17.80 2016= R20.90 2017 = R21.78 Based on your analysis of Impu's fundamentals you estimate that the firm's earnings will continue to grow at its average historical growth rate for the next year but that in the following year, as a result of the launch of a new product the form is currently developing, earnings will grow at a rate of 20% per year for two years. After this, you project that the earnings growth rate will decrease by 5% per year for the next two years, to its long term sustainable rate. You project that the firm will maintain a 50% dividend pay-out ratio and that the appropriate market capitalization rate for Impi Industrial Corporation is 15%. What action would yoh take if the firm's shares are currently trading at R620 per share?
- The following table gives Foust Company’s earnings per share for the last 10 years.The common stock, 7.8 million shares outstanding, is now (1/1/19) selling for $65.00 pershare. The expected dividend at the end of the current year (12/31/19) is 55% of the 2018EPS. Because investors expect past trends to continue, g may be based on the historicalearnings growth rate. (Note that 9 years of growth are reflected in the 10 years of data.) The current interest rate on new debt is 9%; Foust’s marginal tax rate is 40%, and its targetcapital structure is 40% debt and 60% equity.a. Calculate Foust’s after-tax cost of debt and common equity. Calculate the cost of equityas rs = D1/P0 + g.b. Find Foust’s WACC.Copyright 2019 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).Editorial review has deemed that any suppressed content does not…Using spreadsheet financial functions, calculate the following: Number of periodsPetcom’s 2021 earnings per share (EPS) were $2, and its growth rate during the prior 5 years was 9.0% per year. If that growth rate were maintained, how long would it take forthe company’s EPS to double?A company paid quarterly dividends of $1 per share in 2000. In 2010, they were $1.10 per share. Today (2019) they are $1.75 per share. What is the CAGR (compounded annual growth rate) on the dividend? Round to the nearest zero decimal places and use the % symbol (e.g. 4%)
- The income statement of Blue Co. in 2021 shows a net Income of P2,400,000. It is the policy of the company to pay an annual cash dividend of P5 per share to common stock. The company has a total of 600,00 outstanding common stocks that is currently trading at P25 per share. What is the Dividend yield? (type the answer in percentage with “%”)Dixon Corp has announced a per-share dividend of $5.25 for the year just ended. The company’s earnings and dividends per share are expected to grow at a steady rate of 4.50% for the foreseeable future. Each share of the company’s common stock is currently trading for $94. Estimate Dixon’s marginal cost of common equity. Dixon faces a marginal tax rate of 30%. 5.84% 10.34% 7.24% 13.54% 9.79%The dividend policy of Gulden Gardens Inc. can be represented by a gradual adjustment to a target dividend payout ratio. Last year Gulden had earnings per share of $4.00 and paid a dividend of $0.80 a share. This year it estimates earnings per share will be $6.00. If it has a 25% target payout ratio and uses an adjustment factor of 0.2, what would be the dividends per share for this year?
- A transportation company needs to determine the cost of capital of its shares common. The company's stock is currently selling for $ 57.50. The company expects pay a dividend of $ 3.40 at the end of the year (2020). The following table shows the dividends of the last 5 years. Year Dividend2019 $ 3.102018 2.922017 2.602016 2.302015 2.12After administrative costs, the company expects to earn $ 52 per share from a new issue.a) Determine the growth rate of dividends from 2015 to 2019. (g =?)Apple Inc. (AAPL) is expected to pay a dividend of $1.59 at the end of the year. AAPL’s dividend payout ratio and return on equity (ROE) are 41.27% and 6.86%, respectively. Other things held constant, what would AAPL’s stock price be if the required rate of return is 6.47%? A. $93.14 B. $84.97 C. $72.26 D. $65.13Monsters inc recently paid its annual dividend of $2.47 and reported an ROE of 6%. The firm pays out 50% of earnings as dividends. Based on your analysis, you estimate that the stock has a required return of 7%. What is the intrinsic value of this stock?